Does West Virginia Require a Contractor License Bond?
The state licensing sources we checked do not list a contractor license bond for any class of West Virginia contractor. What the state does require is a license to contract, and non-exempt construction employers must post a payroll-based wage bond with the Division of Labor.
- Who requires it: The West Virginia Contractor Licensing Board; W. Va. Code Chapter 30, Article 42; W. Va. Code 21-5-14.
- Amount: The West Virginia licensing sources we checked list no contractor license bond; license applicants certify compliance with the applicable Division of Labor wage bond, which non-exempt construction employers post at four weeks' gross payroll at full capacity plus 15%.
Official West Virginia Requirements
"No person may engage in this state in any activity as a contractor or submit a bid to perform work as a contractor, as defined in this article, unless that person holds a license issued under the provisions of this article."W. Va. Code §30-42-6 • View Official Requirements →
Does West Virginia require a contractor license bond?
The state licensing sources we checked — the West Virginia Contractor Licensing Act (W. Va. Code Chapter 30, Article 42) and Legislative Rule 28CSR2 — do not list a contractor license bond for any classification. The Contractor Licensing Board classifications include electrical, plumbing and heating, ventilating and cooling contractors, and the rule lists no license bond for any of them. Because the law does not state this directly, confirm it with the Board before you rely on it. The Contractor Licensing Board has the final word on what any given license requires.
What West Virginia requires instead
You must hold a contractor license to work as a contractor or to submit a bid in the state. The license requirement applies when a job costs $5,000 or more for residential work or $25,000 or more for commercial work. After you pass the examination and before the license is issued, you certify by affidavit that you comply with the applicable wage bond requirements of W. Va. Code 21-5-14. Once you hold a current state license, no municipality, local government or county may require an additional contractor license from you. The old license section, W. Va. Code 21-11-6, is marked repealed, and the Board now points to Chapter 30, Article 42 as the Contractor Licensing Act. The Division of Labor also runs plumber and HVAC technician certification programs, so ask it whether one applies to your work.
The wage bond that does apply
The bond that matters in West Virginia is the wage bond, which employers in construction work furnish on a form prescribed by the commissioner, payable to the State of West Virginia, conditioned on paying wages and fringe benefits when due. The amount equals the employer's gross payroll for four weeks at full capacity or production, plus fifteen percent of that total. The amount rises as the employer's payroll rises, and it can go down only with the commissioner's approval once there are no outstanding claims against the bond. You post the wage bond with the Division of Labor for a period of up to one year.
A surety bond for this purpose may be issued by any insurance company licensed by the West Virginia Insurance Commission. The surety form stays in effect for one year from its effective date and incorporates the "Employer Wage Bonds" rule, 42 CSR 33. The bond cannot be cancelled or withdrawn without first giving 60 days' notice to the Commissioner of Labor. You can also meet the requirement with collateral such as cash and securities, letters of credit or an escrow account if the commissioner allows it, and the commissioner must accept an irrevocable letter of credit in place of any other bonding requirement. The commissioner waives the bond if the commissioner finds that an employer is of sufficient financial responsibility to pay wages and fringe benefits.
An employee whose wages and fringe benefits are secured by the bond has a direct cause of action against it, and after the commissioner certifies unpaid wages the surety provides payment within fourteen days. If a business fails to post, increase or maintain an adequate wage bond, it may be issued a cease and desist order, and knowingly and willfully failing to keep an adequate bond is a misdemeanor.
| Feature | What applies |
|---|---|
| Who posts it | Non-exempt employers in construction work |
| Amount | Four weeks' gross payroll at full capacity plus 15% |
| Payable to | The State of West Virginia |
| Posted with | The Division of Labor, for up to one year |
| Cancellation notice | 60 days' notice to the Commissioner of Labor |
Who is exempt from the wage bond
The statute exempts employers who have been actively engaged in construction work in West Virginia for at least one year before posting the bond. It also exempts an employer who has been in business in another state for at least five years, has at least $100,000 in assets, or is a subsidiary of a parent company that has been in business for at least five years. The Division of Labor packet words its list differently and adds work limited to single family dwellings or family farming enterprises, and companies with no employees working within West Virginia. Exemptions are reported using the Wage Bond Status Affidavit (Form WBA1). Since July 7, 2017, a company claiming the $100,000 asset exemption must submit the Form WBA1 along with a separate statement supporting the value of its assets. Because the statute and the packet describe the exemptions differently, confirm which applies to you with the Division of Labor.
When the Board can still require a bond
Separate from the wage bond, if you are found, after a hearing, to have violated the licensing law or Board rules, the Contractor Licensing Board may require you to provide assurance of financial responsibility as a condition of licensure. That financial assurance may include a surety bond, a cash bond, a certificate of deposit, an irrevocable letter of credit or performance insurance, and it may not exceed the judgments or liens against the contractor or the value of any corrective work the board orders. This is a disciplinary measure, not a license bond that every contractor posts.
Steps
- Confirm your license class. Check which Contractor Licensing Board classification covers your work and whether your job meets the $5,000 residential or $25,000 commercial threshold.
- Plan for the license affidavit. Before the license is issued you certify compliance with the applicable wage bond requirements of W. Va. Code 21-5-14, so know your status in advance.
- Check whether the wage bond applies. If you are a construction employer, determine whether an exemption covers you under the statute or the Division of Labor packet.
- File Form WBA1 if exempt. Report any exemption on the Wage Bond Status Affidavit (Form WBA1), with a separate asset statement if you claim the $100,000 exemption.
- Arrange the wage bond if required. If no exemption applies, post a bond equal to four weeks' gross payroll at full capacity plus 15% with the Division of Labor, either a surety bond from an insurer licensed by the West Virginia Insurance Commission or another form the commissioner accepts, such as an irrevocable letter of credit.
- Check local building offices. This page does not cover local permit or project bond rules, so ask your local building or licensing office, keeping in mind no city or county may require an extra contractor license from a state licensee.
Licensed? The bonds you'll need to win jobs in West Virginia
Bigger jobs, public work and most commercial contracts add contract bonds.
Related guide: All contractor bond types
Bid bonds →
Most public bids, and many private ones, require a bid bond (often 5% to 10% of the bid) with your proposal.
Performance bonds →
Once you win, the owner usually requires a performance bond that backs your promise to finish the job in West Virginia.
Payment bonds →
Backs payment to your subcontractors and suppliers. Usually required alongside the performance bond on public work.
Performance & payment bonds →
Most public contracts ask for both bonds together, each commonly at 100% of the contract price.
Frequently asked questions
Does West Virginia require a contractor license bond?
The state licensing sources we checked do not list a contractor license bond for any class. Confirm with the Contractor Licensing Board before you rely on it.
Who issues West Virginia contractor licenses?
The West Virginia Contractor Licensing Board licenses contractors statewide under W. Va. Code Chapter 30, Article 42 and Legislative Rule 28CSR2.
When do I need a West Virginia contractor license?
You need a license to work as a contractor or submit a bid when a job costs $5,000 or more for residential work or $25,000 or more for commercial work.
What is the West Virginia wage bond?
It is a bond construction employers furnish, payable to the State of West Virginia, conditioned on paying wages and fringe benefits when due. You post it with the Division of Labor.
How much is the WV wage bond?
The amount equals your gross payroll for four weeks at full capacity plus 15% of that total, and it rises with your payroll; a decrease needs the commissioner's approval.
Can I be exempt from the wage bond?
Yes. The statute exempts, for example, employers with at least one year of construction work in West Virginia, five years in business in another state, $100,000 in assets, or a parent company in business for at least five years; the Division of Labor packet words the list differently. Confirm your status with the Division of Labor.
What does the wage bond cost?
What you pay is a small share of the bond amount, set by the surety from your credit and business details.
Can the Board still require a bond?
Yes. If you are found, after a hearing, to have violated the licensing law or Board rules, the Contractor Licensing Board may require financial assurance such as a surety bond as a condition of licensure, capped at the judgments, liens or corrective work involved.
Sources
- West Virginia Contractor Licensing Board, Statutes
- Legislative Rule 28CSR2 (Board PDF)
- W. Va. Code §30-42-6
- W. Va. Code §30-42-3
- W. Va. Code §30-42-5
- W. Va. Code §30-42-15
- W. Va. Code §30-42-20
- W. Va. Code §21-11-6 (repealed)
- W. Va. Code §21-5-14
- West Virginia Division of Labor, Wage Bonding
- WV Division of Labor, Wage Bond Packet
- WV Division of Labor, Wage Bond Status Affidavit
- WV Division of Labor, Surety Bond Form
See neighboring state guides for Virginia, Ohio, Pennsylvania, Kentucky and Maryland contractor license bonds.
Related guides: Contractor license bonds by state, West Virginia auto dealer bonds, bid bonds, bond vs. insurance, contractor bond cost guide, get a quote, how to get a surety bond, contractor license bond requirements by state, general contractor bond requirements, payment bonds, performance and payment bonds, performance bonds, surety bond cost, contractor bond calculator.
Estimate Your West Virginia Contractor License Bond Premium
Free calculator — ballpark cost in under 60 seconds, no email required.
Other West Virginia Bonds
Additional surety bonds available in West Virginia
Nearby States
Contractor license bonds in neighboring states
Kentucky requirements, statute, and bond amount
Maryland requirements, statute, and bond amount
Ohio requirements, statute, and bond amount
Pennsylvania requirements, statute, and bond amount
Virginia requirements, statute, and bond amount
All content is researched from official state and federal sources (.gov). BuySuretyBonds.com works with Treasury-listed surety carriers.
Other bonds in West Virginia
Contractor license bonds in other states
- Contractor license bond rules in Alabama
- Alaska contractor licensing rules
- Arizona contractor bond rules
- Arkansas contractor license bonds
- Contractor licensing in California
- Contractor license bond rules in Colorado
- Connecticut contractor licensing rules
- Washington DC contractor bond rules
- Delaware contractor license bonds
- Contractor licensing in Florida
- Contractor license bond rules in Georgia
- Hawaii contractor licensing rules
- Idaho contractor bond rules
- Illinois contractor license bonds
- Contractor licensing in Indiana
- Contractor license bond rules in Iowa
- Kentucky contractor licensing rules
- Louisiana contractor bond rules
- Maine contractor license bonds
- Contractor licensing in Maryland
- Contractor license bond rules in Massachusetts
- Michigan contractor licensing rules
- Minnesota contractor bond rules
- Mississippi contractor license bonds
- Contractor licensing in Missouri
- Contractor license bond rules in Nebraska
- Nevada contractor licensing rules
- New Hampshire contractor bond rules
- New Jersey contractor license bonds
- Contractor licensing in New York
- Contractor license bond rules in North Carolina
- Ohio contractor licensing rules
- Oklahoma contractor bond rules
- Oregon contractor license bonds
- Contractor licensing in Pennsylvania
- Contractor license bond rules in South Carolina
- South Dakota contractor licensing rules
- Tennessee contractor bond rules
- Texas contractor license bonds
- Contractor licensing in Utah
- Contractor license bond rules in Vermont
- Virginia contractor licensing rules
- Washington contractor bond rules
- Contractor license bond rules in Wisconsin
- Wyoming contractor licensing rules